Enterprise 2.0 implementation: benefits and risks

Implementing new technologies is about change. Users are involved, work processes improved, and possibly organizational structures will change. With any change, There are always benefits and risks associated with that change. In this post I will talk about benefits and risks of Enterprise 2.0 implementation with relevant case study.

Benefits of Enterprise 2.0 implementation:

Productivity & efficiency:

With quicker access to resources, individuals and teams work more effectively with easier collaboration.

Making it easier to uncover and connect with relevant expertise, either in people or embedded in documents and processes.

Enabling search to quickly provide the most relevant information and resources for the individual.

Reputation:

Taking the initiative to implement innovative approaches create leadership position with an industry and with clients and business partners.

Attractiveness as an employer, orrgnization that intend to uptake of new technologies, is often seen as an indicator of a innovative culture.

Here is a case study fromJanssen-Cilagthat highlight some benefits of implementing Enterprise 2.0:

Janssen-Cilagis an Australian pharmaceutical subsidiary of Johnson & Johnson. It was using a static HTML site for an intranet. Called InfoDownUnder, it was originally developed in 2001. Some content was out of date and there was no search capability. Trust in the system was low and demand for change was high.

Nathan Wallace, in the CIO at Janssen-Cilag was progessive in his vision and suggested the organization implement a wiki as their intranet. They needed a system where editing is immediate and very simple. It was more important to let people add content rather than worrying about what they shouldn’t do. At any rate, the risk of letting anyone change anything was low, since the wiki provided a complete history of changes so mistakes can be quickly undone. The history would also allow the administration people to hold irresponsible individuals accountable for improper actions.

Nathan wrote, “our contributions per month has continued to grow since launch. People are engaging and collaborating more with time, they are not losing steam as you might expect. To drive adoption, we’ve primarily focused on owning the flow of new information. Early on, we established a policy that all announcements must be on JCintra. When necessary, they may be sent via email in addition to posting as news on the Intranet. Today, announcements ranging from major restructures to new babies for employees flow through the news page without clogging up email inboxes.”

He went on to add, “Business information that was previously scattered in email (e.g. Business Planning presentations) is now collected into a permanent, secure online space. We have a growing reference and history of information to build on and make available to newcomers. Knowledge management, previously a big concern, has moved off the agenda for the time being.” That is because knowledge management became a byproduct of using the wiki and not a separate activity.Reference

So.. What about Risks of implementing Enterprise 2.0?

Security:

The possibility of leakage of Confidential data and competitive information externally.

Opening systems can make IT resourse more vulnerable to malicious softwares.

Loss of Control:

Mangers cannot control the tremendous amount flow of information in organizations.

Individuals make negative or inappropriate comments on discussion forums or other public communication.

Reliability:

By posting incorrect or unreliable information.

Reputation:

Inappropriate staff behaviour by making negative comments about the company or its clients.

Case relevant to the risk of Enterprise 2.0 Implementation:

Honda Struggles With Negative Reactions to its New Car Model

According toMashableIn 2009, Honda released photos of their new 2010 crossover vehicle, the Accord Crosstour. They’ve set up a Facebook Fan Page as savvy and innovative social media marketers, to revel in all the fan support and social sharing in the aftermath of the big reveal.

Four thousand people signed up as “fans” of the car on the day it was launched, and most immediately began posting negative comments about the car’s design. And the Twitter response has been equally negative.

Honda has attempted several responses. At least one Honda employee – Manager of Product Planning Eddie Okubo – began posting positive comments on the page. Okubo, however, didn’t identify himself as a Honda employee. When Facebook users caught on to his identity, Honda purged his comments from the page. Autoblogsays, “His comments and other similar non-sanctioned corporate communique will one day wind up in business textbooks as examples of how social media marketing can go very, very wrong.”

While social media marketing can reap huge word-of-mouth wins for brands, and keep marketer’s in touch with their customers at a very intimate level, marketers must deal with negative comments of as aggressively as they deal with positive statements or comments. Honda’s case clearly shows loss of control and reputationrisks of Enterprise 2.0 Implementation.

So.. I hope I explained the benefits and risks of Enterprise 2.0.. and if you have any comment or case that relevant to the risk or benefits of Enterprise 2.0 implementation, please share it in comments.

Great Khaled , you have referred to an important point in risks which is ‘Reputation’ because many companies are suffering from this point, for example, I found someone offended to Halwani company in facebook which products dairy and poultry products because he has personal problems with Employee in Halwani company.

Hi, that’s a great post! With regards to their social media platform, i just wondering if its viable to have some sort of a moderator to monitor what people are saying and if necessary, has the authority to suspend accounts. Have a look at my blog mate. Cheers.

It is clear and there is no doubt large companies will definitely benefit of useing enterprise2.0. the reason for that cause these tools allow them to access to millions of custommers worldwide, also make it easier to collaborate with people